Management Accounting Set 2

Bachelor of Business Administration (BBA),

Bachelor of Banking and Insurance (BBI),

Bachelor of Commerce (B Com)

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This set of Management Accounting Multiple Choice Questions & Answers (MCQs) focuses on Management Accounting Set 2

Q1 | Liquidity ratios are expressed in
Q2 | Working capital turnover ratio can be determined by :
Q3 | Determine Working capital turnover ratio if, Current asset is Rs 1,50,000,current liability is Rs 1,00,000 & cost of goods sold is Rs 3,00,000.
Q4 | The ratio analysis is helpful to management in taking several decisions, but asa mechanical substitute for judgement and thinking, it is worse than useless.
Q5 | Profit for the objective of calculating a ratio may be taken as
Q6 | If sales is Rs 5,00,000 & net profit is Rs 1,20,000 Net profit ratio is
Q7 | General profitability ratios are based on
Q8 | The ratios which reveal the final result of the managerial policies andperformance is .
Q9 | Return on investment is a .
Q10 | Net profit ratio is a .
Q11 | Stock turnover ratio is a .
Q12 | Current ratio is a
Q13 | Proprietary ratio is a .
Q14 | Fixed assets ratio is a
Q15 | Fixed assets turnover ratio is a
Q16 | The ratio which measures the profit in relation to capital employed is known as
Q17 | The ratio which determines the profitability from the shareholder’s point ofview is .
Q18 | Return on equity is also called
Q19 | Preliminary expenses is an example of
Q20 | Prepaid expenses is an example of .
Q21 | The ratio which is calculated to measure the productivity of total assets is
Q22 | The ratio which shows the proportion of profits retained in the business out ofthe current year’s profits is
Q23 | The ratio which indicates earnings per share reflected by the market price is .
Q24 | The ratio establishes the relationship between profit before interest and taxand fixed interest charges is .
Q25 | The ratio shows the preference dividend as a proportion of profit available forshareholders is
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